When’s The Right Time To Remortgage in Manchester?

Remortgage Advisor in Manchester

If you’ve decided to stay in your current property and not move? Well, then you should probably look to Remortgaging. Remortgages are where you transfer to a better deal for your current property, with more favourable interest rates. As an experienced Mortgage Broker in Manchester, this is something we may be able to help with.

If I can already afford my current Mortgage, why should I Remortgage?

The banks rely on customers not shopping around and it’s not uncommon for there to be cheaper offers for you elsewhere. All you have to do is have a look at a price comparison website or contact a mortgage broker to compare deals on your behalf.

If you’ve had your mortgage for quite a long time, then you could be on a low Bank of England tracker deal. You may even be paying less than 1%. If this explains your situation, you might be tempted to leave that mortgage where it is for now. However, your payments will increase when the base rate eventually goes on the rise.

Can I borrow more money for home improvements?

Subject to the usual affordability checks and assuming you have got equity in your property, then it is possible to increase your mortgage for home improvements.

This can be a good investment if you use the money wisely. Often, we see customers do this to facilitate building an extension or converting their loft.

Can I borrow more money to fund other means?

You can
borrow extra funds for most legal purposes, examples of this would be:

Debt Consolidation

Consumer Purchases

Gift to relative

Property Investment (e.g. into a Buy to Let)

Remember by increasing your mortgage you will end up paying back more interest, so you need to be sure you are doing this for the right reasons.

Is adding unsecured debt to my credit a bad thing?

You have
to be aware that it can be a bad idea to add debt to your mortgage. This is because
you will end up paying back more interest overall by essentially extending the
term of your debts to make the payments lower.

You are
also taking debt, which is not secured, and securing it on your home. This puts
you at risk of repossession if you cannot keep up repayments. Consolidating
debts that you can afford or credit cards that are at 0% interest will almost
certainly be the wrong thing to do.

However, if you need to reduce your monthly outgoings to avoid missing payments, which could damage your credit rating, then it might be a viable option.

Will I be offered a Remortgage by my current provider?

Often your current Lender will offer you a new deal to stay with them, they may call this a “Product Transfer” or “Retention” product. This isn’t guaranteed and sometimes you have to contact your provider directly to see what is available to you.

Some lenders allow you to make a product switch online without taking advice or providing further information/documentation.

Whilst it may be easier to stay with the same provider and switch products rather than put forward a new application to a different lender, you may find that you could save a lot of money by doing so.

Also, many Banks still offer preferential rates to new borrowers over existing ones. One day, Lenders will get their act together and realise that taking a more ethical approach would breed loyalty amongst their customers.

I used Uk Moneyman for my mortgage when i was buying my house. They were so quick and effiecient and were available to answer any questions or queries i had. They helped through everything and i can't thank them enough. Great customer service! Really appreciated.

Rabiya A

Fantastic service, especially Kayleigh and Paul. Always answered my questions and kept me up to date. Will use again and recommend to friends and family

Victoria R

Fantastic service from everyone I spoke to regarding my Morgage, especially Paul and Kayleigh. I was always able to contact one of them and had any questions answered. Will definitely recommend to others and will certainly use them again in the future.